You can collaborate effectively with remote people a couple time zones away. India is much harder -- also much harder to periodically bring everyone together for a few days.
Working at hardware companies, you quickly realize the toll taken by having to deal with vendors in Shenzhen. Meetings at the extremities of the day on both sides of the Ocean isn't fun for anyone. Outsourcing your core development team, let alone QA or sysadmin, to Asia isn't a panacea.
That's a redhering. All the good Indians are inported.